Summary

The Como project is a Walker Lane type gold-silver Comstock Lode analogue. Both areas have very similar geology, alteration, mineralogy and similar precious metal ratios. The quartz vein textures and inclusions also indicate an effective gold-depositing boiling environment. Many of the historically worked veins have untested targets, as well as the possibility of additional blind targets.

Location

The property is located 13 kilometers southeast of the town of Dayton and 21 kilometers from Virginia City and the Comstock Lode along the northern end of the Pine Nut Range, Lyon County, Nevada.

Land Status

Newmont controls 51 unpatented lode claims that cover the entire Como town site and historic workings.

History

The Como Mining District was discovered in the 1860s. Historic production is estimated at 20,000 ounces gold and 500,000 ounces silver from 100,000 tons of material mined from 12 different veins between 1900 and 1940. The district sat idle until exploration began in 1968 with the drilling of six core holes on the main Como Vein. Intermittent exploration has continued through 2001 with mapping, sampling, geophysics and drilling by a variety of companies. A total of 88 holes have been drilled to an average depth of 165 meters. From 1987 to 1990, Amax Exploration undertook the largest exploration program and generated an inferred, historic non-NI 43-101 compliant mineral resource of 1,250,000 tons at an average grade of 1.1g/t Au for 40,000 ounces gold. The most notable intercept came from Anglogold's vein extension program between 1999 and 2001, which intercepted 5g/t Au from 94.5m to 107m, including 3m at 14g/t Au. Most drilling has been shallow and has not tested down dip or extension potential of known veins.

Geology

The Como area consists of Miocene calc-alkaline andesite flows, domes and plugs flanked by Pliocene dacite porphyry flows. The known faults and veins are oriented northeast, northwest and north-south and all dip between 60 and 90 degrees. Mineralization is hosted along these faults and at intersections. The district exhibits both low and high sulfidation clay assemblages that indicate periodic changes from acid leaching to neutral conditions. Gold mineralization is associated with illite-muscovite-adularia in ore and wall rocks, tetrahedrite and copper-lead-zinc associated with the silver-gold with a similar ratio as the Comstock Lode of 25:1. Thin section work on the veins shows both an abundance and variability of vapor rich inclusions. This distribution indicates boiling agitation within the veins and an effective gold-depositing environment over a large dip length.